Vancouver Stock Exchange (December 09, 1991)

Both the resource and composite indices finished the week ended Dec. 3 higher. The resource index added more than eight points to close at 516.99, while the composite index finished at 566.35 for a gain of 4.8 points.

Dia Met Minerals hit an air pocket, dropping better than $1 to $4.50. Investors await further news on the company’s Point Lake diamond exploration joint venture with BHP-Utah Mines in the Northwest Territories. A lack of news and rumors of poor assay results from drilling on its La Blanca property in Mexico sent War Eagle Mining into a steep dive. The issue did manage to reach a 52-week high of $3.50 before beginning a descent to the $2.60 level. The stock was subsequently halted on the morning of Dec. 3 at $2 because of an imbalance of sell orders. War Eagle has stated it does not expect to receive any assays from the 16-hole drilling program on the La Blanca property until Dec. 10.

Great Western Gold was active following the announcement of an earn-in agreement with War Eagle on ground adjoining that company’s La Blanca property. Great Western traded more than two million shares, hitting a high of 72 cents before finishing at 46 cents for a gain of 28 cents. Dessir Resources managed to reverse a protracted slide, recovering from a low of $1.50 to finish unchanged at the $1.90 level. The company is awaiting exchange approval for the issuance of 2.8 million shares in order to complete a 50% earn-in on the Gibbs claims in California.

After weeks of churning at the $1.30 level, Golden Ring Resources managed to break free, gaining 17 cents on more than one million shares to finish at $1.52. The company expects to receive final approval shortly to begin drilling on its Bellas Gate property in Jamaica.

Fenway Resources did well, jumping 55 cents to close at $1.30. The company is promoting a nickel-chromium property in the Philippines.

The start of a diamond drilling program on the Texada Island project in British Columbia appeared to help owner Vananda Gold. The issue added 11 cents to close at 96 cents.

Prime Resources Group touched a 52-week low of $2.95 before climbing back to $3.15. Placer Dome expects to release results of a due diligence review on the Eskay Creek property in northwestern British Columbia in mid-December. Placer can increase its holding in the project to a direct 50% interest by funding capital expenditures of up to $240 million. If Placer proceeds with the deal, Prime’s interest will drop to 32% from 50%, while Stikine Resources’ interest will fall to 18% from 50%.

Jordex Resources hit a low of $1.25 before recovering to $1.70 for a loss of 40 cents on the week. Jordex recently announced it had failed to reach a final agreement for the acquisition of a Venezuelan oil service company.